Gross national product unrevised

The U.S. economy grew at 0.6% annual rate in the first quarter, marking the slowest quarter since 2002, according to a report from the Department of Commerce. On the upside, the figure was unrevised from the previous two estimates For 2007, the GDP grew 2.2%, marking the weakest pace in five years. The GDP grew 2.9% in 2006. The economy is skirting a recession, Chuck Lieberman, chief investment officer of Advisors Capital Management LLC in Paramus N.J. said. "The economy came close to a negative quarter but didn't go negative, therefore, it may be difficult to accomplish two consecutive negative quarters to form a recession." Mr. Lieberman predicted a negative first quarter but doubts that the economy will be weak in the second. Advisors Capital Management manages $275 million in assets. Fourth quarter profits fell 3.3% from the third quarter, but increased 2.5% from the year-ago period. Spending on new homes fell 25.2% in the fourth quarter, marketing the largest drop since 1981.